All this in one of the hottest rental and real estate markets in the nation.

It is all a guess, and no one knows what the future will hold.  1 year ago, everyone thought the world was about to come to an end and property values would plummet, and yet here we are in one of the hottest real estate markets I have heard of.The reason financial professionals say to anticipate staying put for 10-15 yrs is historically, we will be back where we are today, even if the Great Depression hits tomorrow.  

It means DSCR loans will become more popular, particularly if they continue the downward trend with rates. 

The issues that you mentioned - homelessness, decriminalization of drug use, etc - don't have a lot to do with larger trends in the rental and ownership markets and if anything city and state officials see rising homelessness as a direct result of the incredible strong rental market over the past decade.

Additionally, look at the broader population trends of these areas and I think you'll realize they likely aren't on the rise.

It just so happens that I hit a point financially where I have the money and interest to purchase some investments properties, but I'm wondering if waiting for things to calm down a bit may be better than diving in in the middle of the hottest market the city has ever seen.

Recently saw a trending thread about this, so here's a fun case study for the community to support or tear apart.

I'm reading the book Emerging Real Estate Markets by David Lindahl, and thought I would ask the group: who has invested at the bottom of an upward market trend, intentionally, and had massive success with this strategy?

Would anyone have any intel on the trends ? 

That being said the first step is to make sure you fully understand your market and the demand and trends for new construction as well as the requirements for financing if you plan to use a bank.